Market growth rate and growth projection over a long period of time.

Some of the elements you should consider: The more profitability potential in your market then the more attractive it is for the company. Industry attractiveness is a measurement of how easy it would be for you to have success within the market and establish a competitive position. Now it’s important to note that these are guides not gospel, so keep in mind you’ve got to consider the wider factors and future potential of your business unit, market, and industry structure. Harvest/Divest: If activity is weak in strength and the industry is not attractive then it’s likely one you should consider exiting or closing down. Hold: Activities that land within this section are less appealing for investment than the Grow activities, but not necessarily at the point of exiting. Grow/Invest: Activities placed in this area should be invested as you have a high strength in a highly attractive industry. The matrix helps you decide the appropriate investment strategies between the following options: The GE Matrix is a 3×3 tool that allows you to map different products, services or activities based on the attractiveness of the industry and the strength of the business unit. You can think of it as similar to the arguably more famous BCG Matrix, in that you allocate products produced by the SBU (Strategic Business Units) or activities within each box, in order to determine future actions. The GE Matrix is a 3×3 matrix designed to help you decide where your investment for resources should be within a business. What are the alternatives to the GE Matrix?.What are the disadvantages of the GE Matrix?.What are the advantages of the GE Matrix?.How do you measure Business Unit Strength in the GE Matrix?.How do you measure Industry Attractiveness in the GE Matrix?.

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